money App could possibly offer an inexpensive and Humane option to costly Payday Lending

money App could possibly offer an inexpensive and Humane option to costly Payday Lending

Square’s money App apparently is testing a brand new financing item that will allow users to borrow between $20 and $200 bucks at a 5% fixed cost for one month plus 1.25per cent in non-compounding interest for every extra week borrowers increase their loans. The fee that is fixed 60% at a yearly price (APR), which will be far lower than “payday” loan storefronts cost. By cross selling and leveraging its low fixed expenses, money App can provide pay day loans at far lower prices possibly preventing ‘debt traps’ and revolutionizing the single-payment credit market. Continue reading “money App could possibly offer an inexpensive and Humane option to costly Payday Lending”